USD/JPY edges to post-flash crash high........>

FOREX: USD/JPY edges to post-flash crash high

-Markets largely tread water ahead of the NY crossover with little price action

of note outside of USD/JPY re-taking the Y109.50 to trade just shy of the year's

best levels printed on Jan1 of Y109.82. The modest JPY weakness follows a

recovery in risk after a positive close on Wall Street Thursday - mainland

European indices trade with gains of well over 1% apiece with sentiment

underpinned by reports yesterday that Trump officials were considering rolling

back China tariffs (although this was denied by the US Treasury).

-US equity futures trade in the green again, with the e-mini S&P's close above

the 50-dma yesterday the key driver. Preliminary Uni. of Michigan data later

today will be closely watched for signs that the government shutdown could be

effecting sentiment.

-GBP's the poorest performer in G10 as markets take profits on the week's rally,

with poorer-than-expected retail sales also not helping matters.

-Canadian inflation data is the calendar highlight, with speeches from Fed's

Williams and Harker also due.